At G-24 Meetings, Edun Canvasses United, Resulted-oriented Agenda to Reform Global Financial Architecture

• Cardoso: effective cross border payment system key to inclusive growth 

•Warns uncoordinated digital inter-territorial payments pose risks to monetary sovereignty, others, restates confidence towards $1 billion monthly remittance 

•Says CBN to unveil new payment system vision 2028

Ndubuisi Francis and James Emejo in Abuja

Minister of Finance and Coordinating Minister of the Economy, Mr. Wale Edun, has called on G-24 economies to articulate a united, robust, and solutions-oriented reform agenda for the global financial system, as the two Bretton Woods institutions – World Bank and International Monetary Fund (IMF) – turn 80.

 Edun made the call in a keynote address at the 2026 G-24 Technical Group Meetings in Abuja, yesterday, with the theme, “Mobilising Finance for Sustainable, Inclusive, and Job-rich Transformation.”

Governor of Central Bank of Nigeria (CBN), Mr. Olayemi Cardoso, also declared that a robust and effective cross-border payment system was crucial for achieving job-rich inclusive growth.

Cardoso, at the G-24 meetings, said, “If people cannot move money easily, affordably, and safely, across towns, borders, and continents, then they cannot fully participate in modern economic life.”

He said central banks must help drive job rich growth, productive investment, and real sector transformation. He said this required policy coherence across monetary, fiscal, and financial reforms, echoing the G 24’s emphasis on integrated, scalable solutions to development challenges.

The minister, whose address was titled, “The Global Economy: Fragmentation, Integration and Harnessing South-South Cooperation,” stated that in an era of geo-political realignments, the Global South must expand collaborative mechanisms to strengthen collective economic resilience.

Edun, who currently chairs the G-24, urged the group to demand the reform of the global financial architecture through the expansion of the multilateral development banks’ (MDBs) concessional lending as well as revising capital adequacy rules.

He also canvassed the strengthening of the Global Financial Safety Net at IMF, prioritising local currency financing, digital payments modernisation, and regional development banks.

“These reforms are essential to support countries that have lost access to

international capital markets,” he said, even as he underscored the need to ensure climate finance equity, among others.

Edun stated that the G-24 meetings being hosted by Nigeria came at a defining moment for the global economy, one marked by profound uncertainty, systemic vulnerabilities, and a historic contest between fragmentation and integration.

He said, “This gathering is not a routine technical engagement. It is an opportunity to re-shape the development trajectory of the Global South at a time when global risks are converging faster than institutions can respond.”

According to him, the global economic landscape is rapidly evolving into what analysts increasingly describe as an “Age of Competition.”

He explained that half of surveyed global experts by the World Economic Forum (WEF) expected the world to remain turbulent over the next two years, adding that 57 per cent foresee continued instability over the next decade, while only one per cent anticipate calm.

“This underscores a global environment defined by geopolitical rivalry, structural

distrust, and weakening multilateral institutions,” Edun said.

Cardoso, nonetheless, revealed that the apex bank will soon conclude work on a new Payment System Vision 2028, developed in close collaboration with industry stakeholders and built around five strategic priorities to boost innovation, strengthen system resilience, and advance financial inclusion.

Cardoso spoke on “Digital Cross-Border Payments, Global Finance, and Economic Transformation – Opportunities and Risks” during a plenary speech he delivered at the opening of the G 24 Technical Group Meetings (TGM), with the theme, “Mobilising Finance for Sustainable, Inclusive, and Job-rich Transformation,” in Abuja.

Cardoso emphasised that reforms in digital payment systems had boosted the country’s monthly remittance inflows to an average of about $600 million, stressing that CBN remains confident of reaching a $1 billion monthly milestone in the near term.

He said a central part of the 2028 agenda was to improve the cross border payments environment, where Nigeria had made concrete, measurable progress.

The central bank governor pointed out that across the world, cross border payments were becoming the backbone of the international monetary and financial system.

As a result, Cardoso said improving cross border payments was not simply a technical reform but a macroeconomic and development priority, adding that the channels through which capital, remittances and trade flows move now form a critical part of global financial stability architecture.

However, he said, “For G 24 economies, inefficiencies in these systems translate directly into higher remittance costs, costly FX transactions, fragmented settlement processes, and barriers to MSME participation in global trade.

“Today, cross border payments remain too slow, too costly, and too fragmented, especially for developing economies. With global remittance corridors costing over 6.0 per cent, settlement lags of several days, and compliance burdens that exclude MSMEs, millions remain disconnected from global opportunity.”

However, he said digital innovation currently presented a historic opportunity to correct the frictions, adding that modern payments infrastructure, instant payment systems, interoperable digital platforms, distributed ledger technology, and robust digital identity frameworks, can reduce transaction costs for remittances and trade, shorten settlement times, improve transparency, compliance, and auditability, and expand access for households and MSMEs traditionally excluded from the formal financial system.

Cardoso said the interoperable digital systems also strengthened the transmission of monetary policy, expanded financial inclusion, and reduced informality, if designed with resilience and strong governance.

The CBN governor, however, warned that the inherent opportunities of digital payments also carried significant risks to monetary and price stability.

He stated that the expansion of private digital payment platforms and stablecoins raised concerns about currency substitution and weakened monetary transmission, increased FX volatility and capital flow pressures, systemic importance of non-bank payment providers, and regulatory arbitrage and fragmentation.

He stressed that without coordination, digital cross-border payments risked becoming fragmented across jurisdictions, entrenching dominant currencies and platforms, reducing interoperability, increasing costs and undermining the ability of Emerging Market and Developing Economies (EMDEs) to safeguard monetary sovereignty.

Cardoso stated that Nigeria’s experience demonstrated that the digital potential could be realised through deliberate and sustained policy action.

He said, “At the Central Bank of Nigeria, we have systematically modernised our regulatory and supervisory frameworks to keep pace with the rapidly evolving digital financial landscape.

“We strengthened operational oversight of switching and payment infrastructure providers, enhanced agent banking regulations to better address AML/CFT risks, and significantly improved interoperability across payment channels to support efficiency and scale.

“To deepen regional integration, the CBN introduced the simplified KYC/AML requirements for low value cross border transactions to encourage broader participation in PAPSS.

“This has eased transaction processes for Nigerian SMEs by reducing paperwork and enabling faster, more seamless intra African trade payments.

“We have also embraced fintech innovation to drive the next generation of secure, instant cross border payments. Our Regulatory Sandbox now allows payment focused fintechs to test new cross border solutions under close CBN supervision, ensuring innovation proceeds without compromising stability.”

Cardoso added, “In June 2025, Nigeria launched the National Payment Stack, our next generation real time payment system built on ISO 20022 messaging and designed to support multi currency and cross border transactions.

“We have also strengthened our AML/CFT frameworks in line with FATF guidelines, requiring strict dual screening of cross border transactions to mitigate risks. On remittances, we worked with domestic and international stakeholders in 2024 to remove long standing bottlenecks and expand efficient corridors.

“This has led to the introduction of new instruments such as the Non Resident Nigerian Ordinary Account (NRNOA) for remittances and family support, the Non Resident Nigerian Investment Account (NRNIA) for diaspora investments, and the Non Resident BVN platform to allow Nigerians abroad to open and service accounts digitally.”

Cardoso said, “Beyond regulation, we have engaged globally, through platforms like the Strategic Fintech Dialogue at the 2025 IMF annual Meetings, to ensure Nigeria contributes to shaping emerging global standards.

“The results are already evident: Digital financial reforms have supported millions of new entrants into Nigeria’s formal financial system, strengthened confidence, and improved market integrity.

“Extending these gains across borders represents the next frontier for inclusive growth, provided it is underpinned by robust regulation and strong institutions.”

He said, “Beyond efficiency gains, digital cross border payments are reshaping global finance itself. They are enabling local currency settlement in cross border trade, new channels for South-South financial integration, reduced dependence on a limited set of reserve currencies; and more efficient transmission of global and regional capital flows.”

Cardoso said experiments, such as mBridge, Dunbar, and other multi CBDC platforms, demonstrated the growing potential for real time, local currency settlement among central banks. He stated that these innovations were especially relevant for G 24 countries seeking a more balanced, inclusive global payments architecture.

The CBN governor stated that Africa’s experience with the Pan African Payment and Settlement System (PAPSS) offered a powerful lesson for the G 24 in building modern, inclusive payment systems.

According to him, “PAPSS demonstrates how developing regions can create home grown, interoperable infrastructure that reduces reliance on external correspondent banks, lowers settlement costs, and enables instant local currency cross border payments.

“It is already deepening regional value chains, supporting MSMEs under the AfCFTA, and strengthening macro financial resilience through wider use of local currencies.”

Earlier, in her opening address, Director and Head of Secretariat, G-24, Dr. Iyabo Masha, stated that the current period was not much different from 1971, when the G-24 was founded amid global uncertainty, as the United States ended the direct convertibility of the U.S. dollar to gold for foreign governments.

Masha stated, “Since then, our work has consistently focused on advocating for fairer

international financial architecture, especially for developing countries.

“As we navigate a world facing new sets of challenges, our deliberations at the 2026 TGM will focus on the key issues relating to the Bretton Woods@80 reform initiative, which is about renewal, not replacement.

“The global outlook tells us growth will continue. But it will not automatically deliver

convergence. That requires deliberate reform — nationally and multilaterally. And that is precisely why this gathering matters.”